HOUSTON – August 12, 2009 – CenterPoint Energy Gas Transmission Company (CEGT), an indirect, wholly-owned interstate natural gas pipeline subsidiary of CenterPoint Energy, Inc. (NYSE: CNP), announced today the start of a non-binding open season to gauge market interest in an additional expansion of its core pipeline system in eastern Arkansas. CEGT is soliciting interest in an expansion in response to growing production surrounding the company’s pipeline system.
“Gas production from the Fayetteville Shale remains robust, and an additional expansion of CEGT’s core pipeline system would provide these incremental supplies access to the interstate pipelines serving the Midwest and Northeast,” said Cy Zebot, Senior Vice President and Chief Commercial Officer for CEGT. “We are well positioned to expeditiously get these supplies to the marketplace and will continue to identify transportation solutions to support this production growth. Assuming adequate expressions of interest are received, we’re prepared to execute binding precedent agreements and seek necessary governmental authorizations to place this project into service as soon as possible.”
CEGT anticipates that such incremental capacity would be provided with additional compression and line looping of Lines J and JM-1. The specific facilities required will be a function of the location and volume level commitment of potential supply sources. Final pricing determinations will be based on the facility costs, the level of firm commitments and the amount of interest indicated in accessing interstate pipelines connected to CEGT’s pipeline system. CEGT will consider proposals of any term, but estimates that long-term commitments will be necessary to complete this project.
Written indications of interest should be received by CEGT by 4 p.m. CDT on August 26, 2009. For questions, please contact Bryan Ginsburg, Senior Director Business Development at 713.207.5166, email@example.com, Kathy Kennedy, Manager Business Development at 713.207.5189, firstname.lastname@example.org, Michael Joyce, Director Marketing at 713.207.5114, email@example.com, or Mike Stoll, Director Marketing at 314.991-7405, firstname.lastname@example.org. For additional information, visit the CEGT Web site at pipelines.centerpointenergy.com/cegt.html.
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines, and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. Assets total nearly $19 billion. With about 8,800 employees, CenterPoint Energy and its predecessor companies have been in business for more than 135 years. For more information, visit the Web site at www.CenterPointEnergy.com.
This news release includes forward-looking statements. Actual events and results may differ materially from those projected. The statements in this news release regarding future financial performance and results of operations and other statements that are not historical facts are forward-looking statements. Factors that could affect actual results include the timing and outcome of appeals from the true-up proceedings, the timing and impact of future regulatory, legislative, and IRS decisions, effects of competition, weather variations, changes in CenterPoint Energy’s or its subsidiaries’ business plans, financial market conditions, the timing and extent of changes in commodity prices, particularly natural gas, the impact of unplanned facility outages, and other factors discussed in CenterPoint Energy’s and its subsidiaries’ Form 10-Ks for the fiscal year ended December 31, 2008, CenterPoint Energy’s and its subsidiaries’ Form 10-Qs for the periods ended March 31, 2009, CenterPoint Energy’s Form 10-Q for the period ended June 30, 2009, and other filings with the SEC.